Intel Stock Crash: Chipmaker plunges 23% after weak results, guidance, PC slowdown warning

Shares of chipmaker Intel Corp., which had seen a sharp run-up for a better part of 2026, saw an equally sharp plunge on Thursday, October 29, in extended trading on Wall Street after its third quarter results disappointed the street.

The stock tanked 23% afterhours after its results turned out to be below expectations. The company's revenue of $16.5 billion was in-line, while EPS of $0.52, was slightly higher than expectations of $0.4. Revenue grew by 21% from last year.

Growth was led by the AI and data center business, which jumped 78% from last year, while the client computing and physical AI business saw a decline of 5% during the quarter.

For the ongoing quarter, Intel guided for EPS to be $0.25, well below the $0.23 estimate, while revenue forecast of $15 billion to $16 billion was also lower than $17.1 billion projected by analysts.

Intel's CFO David Zinsner said that the slowdown in the PC segment is likely to continue through at least the first half of the year. The forecast given by Intel is reflective of an explosion at its Israel fab, which has resulted in the company losing about $600 million in revenue across two quarters. The explosion took place earlier this month.

Global PC shipments fell 4% in the second quarter from the same period last year due to increasing costs for memory and other components, according to Counterpoint research.

Intel has been a beneficiary of the rise in agentic AI. At one point, the stock had gained more than 200% year-to-date.

As a result of Intel's disappointing results, shares of its peer companies also plunged in extended trading, with shares of AMD dropping 6.5%, NVIDIA declining 2.5%, while those of Qualcomm and Broadcom, along with Micron, fell between 4% to 5% as well.

Shares of Intel declined by 23% in afterhours trade after the results announcement. At the close of regular trading on Thursday, the stock was still higher by 133% for the year.